EUR/USD Forex Technical Analysis for June 23, 2016


EUR/USD Forex Technical Analysis for June 23, 2016

Forex Technical Analysis – The EUR/USD pair rallied during the day on Wednesday, taking out quite a bit of the losses from Tuesday. This is a market that’s going to be very volatile day due to the EU referendum being voted on in the British Isles. Because of this, I am actually standing away from this market and not touching it under any circumstances. Headlines and rumors as well as exit polls will move this market drastically today but we won’t get the actual official vote count until tomorrow. Today it’s going to be very dangerous to trade this particular pair.

In Other view point – EUR/USD off-lows, reverts to 1.1350 on hopes of Bremain

Having bottomed ahead of 5-DMA located at 1.1312, the EUR/USD pair takes on a minor-recovery back towards 1.1350 region, with the bulls unperturbed by persistent risk-on trades.

EUR/USD holds 1.13 barrier

Currently, EUR/USD now recovers to 1.1338, up +0.36%, recovering from a dip to 1.1317 session lows. The main currency pair regained poise and now makes headways for a retest of 1.1350 barrier. However, further recovery appears fragile as the risk-on rally in the European equities curb the demand for the euro as a funding currency.

Moreover, sentiment around the common currency also remains supported on the back of the latest Brexit opinion poll results favour a Bremain win. While markets now look forward to the exit polls due later in the day for fresh impetus on the European currency ahead of Thursday verdict on the EU referendum. Meanwhile, US housing and employment data will be published in the NA session.

EUR/USD Technical Levels

In terms of technicals, the pair finds the immediate resistance 1.1350 (psychological levels). A break beyond the last, doors will open for a test of 1.1386 (Jun 20 high). On the flip side, the immediate support is placed at 1.1312/00 (5 & 50-DMA) below which at 1.1246 (100-DMA) could be tested.

Forex Technical Analysis